Search results

Abstract only
(Mis-)selling for return on equity
Andrew Bowman, Ismail Ertürk, Julie Froud, Sukhdev Johal, and John Law

Chapter 4 Retail banking: (mis-­)selling for return on equity Overview The many inquiries into retail banking after the financial crisis have concluded that the sector’s problem is not enough competition.The solution is more competition through encouraging new entrants which will now be created politically by forcing limited divestment of some Lloyds and RBS branches. This case argues a different line. The problem with retail banking is that all the big high street chains have adopted the same business model which has been in no way changed by financial crisis

in The end of the experiment?
From competition to the foundational economy

For thirty years, the British economy has repeated the same old experiment of subjecting everything to competition and market because that is what works in the imagination of central government. This book demonstrates the repeated failure of the 30 year policy experiments by examining three sectors: broadband, food supply and retail banking. It argues against naïve metaphors of national disease, highlights the imaginary (or cosmology) that frames those metaphors, and draws out the implications of the experiment. Discussing the role of the experiments in post-1945 Britain, the book's overview on telecommunications, supermarkets and retail banking, reveals the limits of treatment by competition. Privatisation of fixed line telecoms in the UK delivered a system in which the private and public interests are only partially aligned in relation to provision of broadband. Individual supermarket chains may struggle but the four big UK supermarket chains are generally presented as exemplars because they have for a generation combined adequate profits with low price, choice and quality to deliver shareholder value. The many inquiries into retail banking after the financial crisis have concluded that the sector's problem was not enough competition. In a devolved experiment, socially-licensed policies and priorities vary from place to place and context to context. However, meaningful political engagement with the specifics in the economy will need to avoid losing sight of four principles: contestation, judgement, discussion, and tinkering. While others can be blamed for the failure of the experiments, the political responsibility for the ending and starting another is collectively peoples'.

Imaginary, history and cases Introduction
Andrew Bowman, Ismail Ertürk, Julie Froud, Sukhdev Johal, and John Law

’s families and Britain’s businesses’ (Labour Party 2013) which will finally deal with the problem of high prices and low investment. A combative right wing economic historian and a struggling leader of the Labour Party are not representative figures of national economic thinking, but their imaginary is doxa for the political classes in Westminster and Whitehall. Elite responses have become an echo chamber reverberating with one simple message endlessly repeated regardless of circumstances. For example, in retail banking, where behavioural problems range from mis-­ selling

in The end of the experiment?
Abstract only
Types of banks and the risks they face
Mike Buckle and John Thompson

useful for expository purposes to divide discussion of banking into six categories, namely: retail banking, wholesale/investment banking, international banking, universal banking, Islamic banking and narrow banking. In fact most individual banking firms operate in all the first four areas but the degree of operation in the four categories varies between institutions. For example

in The UK financial system (fifth edition)

The well-being of Europe’s citizens depends less on individual consumption and more on their social consumption of essential goods and services – from water and retail banking to schools and care homes – in what we call the foundational economy. Individual consumption depends on market income, while foundational consumption depends on social infrastructure and delivery systems of networks and branches, which are neither created nor renewed automatically, even as incomes increase. This historically created foundational economy has been wrecked in the last generation by privatisation, outsourcing, franchising and the widespread penetration of opportunistic and predatory business models. The distinctive, primary role of public policy should therefore be to secure the supply of basic services for all citizens (not a quantum of economic growth and jobs). Reconstructing the foundational has to start with a vision of citizenship that identifies foundational entitlements as the conditions for dignified human development, and likewise has to depend on treating the business enterprises central to the foundational economy as juridical persons with claims to entitlements but also with responsibilities and duties. If the aim is citizen well-being and flourishing for the many not the few, then European politics at regional, national and EU level needs to be refocused on foundational consumption and securing universal minimum access and quality. If/when government is unresponsive, the impetus for change has to come from engaging citizens locally and regionally in actions which break with the top down politics of ‘vote for us and we will do this for you’.

Abstract only
Foundational matters
The Foundation Economy Collective

1 Introduction: foundational matters To be truly radical is to make hope possible, rather than despair convincing. (Raymond Williams, Resources of Hope, 1989, p. 118) This book aims to change established ways of thinking about economy, society and politics. It argues that the well-being of Europe’s citizens depends less on individual consumption and more on their social consumption of essential goods and services – from water and retail banking, to schools and care homes – in what we call the foundational economy. Individual consumption depends on market

in Foundational economy
Abstract only
There’s more than one show in town
Andrew Bowman, Ismail Ertürk, Julie Froud, Sukhdev Johal, and John Law

economy. But the problem is not confined to the corporate world; there is also a crucial failure in government policy. This means that we are confronted with a double and therefore intractable problem. It will be necessary to shift public policy before or alongside any change in corporate behaviour. And this is the issue that we explore in this final chapter. This means that we do not end the book with a list of policy fixes for telecoms, retail banking or the dairy industry. Instead we ask questions about the framework for government policy and corporate action. How

in The end of the experiment?
Mike Buckle and John Thompson

knowledge of individual depositors to assess the quality of the bank. This suggests a differentiation in the degree of regulation imposed on retail and wholesale banks, because of the differences in the perceived expertise of their customers. Retail banking depositors are less knowledgeable than those at wholesale banks; therefore the need for regulation is greater in retail banking

in The UK financial system (fifth edition)

Karl Polanyi (1886–1964) returned to public discourse in the 1990s, when the Soviet Union imploded and globalization erupted. Best known for The Great Transformation, Polanyi’s wide-ranging thought anticipated twenty-first-century civilizational challenges of ecological collapse, social disintegration and international conflict, and warned that the unbridled domination of market capitalism would engender nationalist protective counter-movements. In Karl Polanyi and Twenty-First-Century Capitalism, Radhika Desai and Kari Polanyi Levitt bring together prominent and new thinkers in the field to extend the boundaries of our understanding of Polanyi's life and work. Kari Polanyi Levitt's opening essay situates Polanyi in the past century shaped by Keynes and Hayek, and explores how and why his ideas may shape the twenty-first century. Her analysis of his Bennington Lectures, which pre-dated and anticipated The Great Transformation, demonstrates how Central European his thought and chief concerns were. The next several contributions clarify, for the first time in Polanyi scholarship, the meaning of money as a fictitious commodity. Other contributions resolve difficulties in understanding the building blocks of Polanyi's thought: fictitious commodities, the double movement, the United States' exceptional development, the reality of society and socialism as freedom in a complex society. The volume culminates in explorations of how Polanyi has influenced, and can be used to develop, ideas in a number of fields, whether income inequality, world-systems theory or comparative political economy. Contributors: Fred Block, Michael Brie, Radhika Desai, Michael Hudson, Hannes Lacher, Kari Polanyi Levitt, Chikako Nakayama, Jamie Peck, Abraham Rotstein, Margaret Somers, Claus Thomasberger, Oscar Ugarteche Galarza.

The Foundation Economy Collective

social systems which are the everyday infrastructure of civilised life. In the opening example, our working parent actually uses and relies on at least 11 different services before starting work as a medical technician in the hospital. In order of use in our example they are: electricity supply; piped water; waste water and sewerage; retail food supply; domestic piped gas; telecommunications (copper wire and mobile); adult care; retail banking; consumer durable maintenance; education; and public transport. These services and systems are not only mundane. They are

in Foundational economy